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Telangana House passes Bill to reduce VAT on cell phones
December, 29th 2016

The Telangana Legislative Assembly on Wednesday passed a Bill reducing VAT from 14.5 per cent to five per cent on cell phones. State Animal Husbandry Minister T Srinivas Yadav, who moved the Telangana Value Added Tax (Fourth Amendment) Bill, said the Bill seeks to reduce VAT from 14.5 per cent to five per cent.

According to the statement of objects and reasons of the bill, trade diversion has been taking place from Telangana to neighbouring states due to higher rate in the state.
“On account of this amendment, state revenue to the extent of Rs 5 crores will be protected,” the Financial Memorandum of the Act said. Pointing out that reducing VAT would benefit common people, opposition Congress and BJP also supported the Bill.

 
 
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